Johnson Goods, a U.S. company is exporting to Watanabe Trading, a Japanese importer. The two parties agree on a draft, but Watanabe Trading wants it to be a draft that allows for a delay in payment. Watanabe Trading is asking for a(n)
A. sight draft.
B. time draft.
C. bill of lading.
D. counterpurchase.
E. offset.
Answer: B. time draft
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International Business
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